Apple transitioned to its custom silicon for Mac in 2020 with the launch of its M1 chip, and it changed the entire course of upgrades for Apple. Previously, the company used Intel chips, and it took several years for the Cupertino giant to complete its transition. Five years later, the founder of TSMC revealed why Apple chose them over Intel as their custom chip supplier. Note that the relationship between Apple and TSMC dates back to 2011 when Tim Cook switched to TSMC from Intel for its iPhone chips.
TSMC reveals why Apple did not choose Intel as its main supplier for iPhone and Mac chips
Apple CEO Tim Cook made the choice to shift from Intel to TSMC chips for the iPhone in 2011, and the supplier's CEO now explains why. In a new interview with Acquired, Morris Chang recounted that when Intel approached Apple for iPhone chips, it paused its discussions with TSMC. For Apple, it made sense to go with Intel as it already provided its chips for its Mac lineup. However, despite the ongoing relationship with Intel, Apple went ahead with TSMC after two months of consideration.
Apple CEO Tim Cook decided to shift to TSMC, stating that "Intel just does not know how to be a foundry." Chang also stated that he was not too worried about the company's decision as TSMC was ahead of Intel in terms of manufacturing capabilities and customer trust. He says, "I knew a lot of Intel's customers in Taiwan, and none of them liked Intel. Intel always acted like they were the only guy for microprocessors."
TSMC is Apple's go-to supplier for A-series chips for the iPhone/iPad and M-series chips for the Mac lineup. The company has gradually excelled in chip manufacturing, introducing new technologies for the iPhone that allow for enhanced performance with lower power consumption. For TSMC, it boils down to customer needs, which has resulted in building better relationships with clients.
"When the customer asks a lot of things, we have learned to respond to every request," according to Chang. "Some of them were crazy, some of them were irrational, but we respond to each request courteously. Intel has never done that."
Ultimately, Apple and TSMC both gained from the partnership, and the latter is now the exclusive chip provider. On the flip side, Intel struggled at first but eventually adapted by launching Intel Foundry with a new manufacturing strategy. The company is securing additional clients, including Amazon's AWS cloud services unit for AI chips.
You can check out the full interview for more details. We will share additional details on the matter, so do stick around.
About the author: Ali Salman is a technology reporter for Wccftech mobile section with a specialized focus on Apple and the intellectual property that drives mobile innovation. He has cultivated a unique expertise in analyzing and deconstructing complex technology patents, translating dense legal and technical documents into clear, insightful reports on future products.
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